In a previous article, we talked about properties sold in Turkey in July 2023
Today, we will discuss what developments occurred in the Turkish real estate market during the month of August, supported by pictures and information from the Turkish Statistics website, in addition to some observations that we believe are important.
122,91 homes were sold across Turkey in August.
Housing sales across Turkey fell by 1.1% during August compared to the same month of the previous year, reaching 122,91. Istanbul had the highest share in housing sales, with 17,408 house sales, or 14.3%. According to sales figures, Istanbul was followed by Ankara with 11,077 homes sold and a share of 9.0%, and Izmir with 6,504 homes sold and a share of 5.3%. The provinces with the lowest number of house sales are Ardahan with 39 houses, Hakkari with 67 houses, and Artvin with 139 houses.
+We note that despite the decline in the number of properties sold in the month of August if compared with the same month last year, it constitutes the highest number of real estate sales in the entire year of 2023 so far, and this indicates that investors have begun to seize opportunities in light of the high interest rates and the fact that real estate loans are not desirable. In light of the high interest.
Home sales decreased by 15.5% in the period from January to August compared to the same period of the previous year, reaching 797,418.
The number of direct home sales reached 35,310
The number of direct home sales across Turkey decreased by 9.5% in August compared to the same month of the previous year, reaching 35,310. The share of direct home sales in total home sales was 28.9%. Direct home sales reached 238,109 in the period from January to August, a decrease of 13.8% compared to the same period of the previous year.
86,781 homes changed hands at used home sales
Used home sales across Turkey rose by 2.7% in August compared to the same month of the previous year, reaching 86,781 homes. The share of used home sales in total home sales reached 71.1%. Used home sales fell by 16.2% in the January-August period compared to the same period a year earlier, to 559,309.
This chart above shows in red the first sold properties and in blue the resold properties.
+We notice the clear proportion between new sales and resales, because when market conditions are suitable and the interest rate on real estate loans is acceptable, we find demand for all types of properties according to the buyer’s need. We are surprised by the prevailing belief that reselling real estate in Turkey is not possible even though statistics show that The number of resold properties is more than twice the number of properties sold for the first time, but care must be taken when choosing the appropriate property for investment.
+A decrease in real estate sold by 15.5% when comparing this year with the previous year is very normal in light of the high inflation and the increase in the level of interest that the country is witnessing. If we look at European countries and America, we will find many times these decreases, and therefore any decline in real estate prices is an opportunity to enhance investment and not An opportunity to follow the decline in prices without taking any step. Therefore, when prices rise again, which is inevitable, the watching investor will say, “I want the old prices to start my investment!”
3,58 homes were sold to foreigners in August
Housing sales to foreigners fell by 42.0% in August compared to the same month of the previous year, reaching 3,58. The share of housing sales to foreigners in total housing sales in August was 2.5%. Istanbul ranked first in housing sales to foreigners, selling 1,066 homes. It was followed by Antalya with 919 homes sold, and Mersin with 248 homes sold.
+We notice a clear impact on foreign demand when compared with the same month in previous years, and this indicates that negative targeted news significantly affected the demand rate. Therefore, we always advise the foreign investor to read local sales statistics to get a correct idea of the market situation instead of news channels that are only interested in collecting The largest number of views by reporting negative news that stimulates interaction.
+Also, the political circumstances clearly affected. After the Russian-Ukrainian war, the demand for real estate in Turkey increased significantly, but with the length of the war, this demand began to gradually decline.
According to country nationalities, most housing sales were made to citizens of the Russian Federation
In August, citizens of the Russian Federation bought 733 houses from Türkiye. Citizens of the Russian Federation were followed by citizens of Iran with 342 homes, Iraq with 220 homes, and citizens of Kazakhstan with 141 homes, respectively.
+We notice a clear decline in demand from all countries, and this is one of the effects of inflation and raising the interest rate. We find that this is an appropriate time to expand investments or wait, and we never recommend selling real estate at this stage at reduced prices because it is a loss of the investment opportunity and giving it to a new investor who will obtain double profits when the market returns to State of prosperity.
+These are appropriate times to start investments, not to end them, in all fields, and the real estate field is considered the most stable and secure.
You can always get a free consultation by contacting our specialized team.
